Massive job cuts in tech: 27,000 employees laid off in August from giants like Apple and IBM

Cisco is also making headlines with its decision to lay off approximately 6,000 employees, about 7% of its global workforce. The company is shifting its focus to high-growth sectors like artificial intelligence (AI) and cybersecurity. Cisco’s CEO, Chuck Robbins, is optimistic about future growth in these areas and has committed $1 billion to AI startups and recently acquired cybersecurity firm Splunk.

IBM has announced it will cease its research and development operations in China, resulting in over 1,000 layoffs. The company cited declining demand for IT hardware and challenges in expanding within the Chinese market as reasons for this decision. Despite these cuts, IBM assured that customer support in China will continue.

GoPro, known for its action cameras, is restructuring and laying off about 140 employees, or roughly 15% of its staff. This move is part of an effort to cut operating expenses by $50 million for fiscal 2024.

Apple has reduced its workforce by around 100 employees from its services division, including roles related to the Apple Books app and bookstore. This reduction reflects a strategic shift towards AI, with Apple now focusing more on its AI initiatives. This is part of a series of cuts this year, including 600 jobs from the Special Projects Group and the closure of a 121-member AI team in San Diego earlier in January.

Dell Technologies is also restructuring, with rumors suggesting that about 12,500 employees, or 10% of its global workforce, have been laid off. The company is reorganizing its sales teams and creating a new AI-focused group to streamline operations.

In addition to these major players, smaller companies are also affected. Bengaluru-based startup ReshaMandi has reportedly laid off its entire workforce due to financial struggles and unpaid liabilities. Brave, a web browser company, has cut 27 employees, representing a 14% reduction in its staff. Social media firm ShareChat has let go of around 30-40 employees, or about 5% of its workforce, following a performance review.

These widespread layoffs reflect broader trends in the tech industry, including cost-cutting measures, strategic realignments towards emerging technologies, and adjustments to the post-pandemic economic environment.